Zubiri: No senator wants to sponsor TRAIN 2

No senator wants to sponsor the proposed second package of the Tax Reform for Acceleration and Inclusion (TRAIN 2) law, Senate Majority Leader Juan Miguel Zubiri said Wednesday.

“It has very little support from my colleagues and, as a matter of fact, no senator wants to sponsor the measure at this time,” Zubiri said in a message to reporters.

The senators held a caucus Tuesday afternoon to discuss legislative priorities including TRAIN2, Charter change, and other issues.

However, Zubiri gave the assurance that the Senate will discuss the tax reform measure once the House of Representatives transmits it to the senators.

“Definitely, once the House of Representatives approves the measure and it’s automatically transmitted to us, the Senate would have to conduct public hearings. This is where we will all debate with our finance managers on the possible effects of this new tax reform package,” he said.

All revenue measures emanate from the House and, once approved, are automatically transmitted to the Senate.

Earlier on Wednesday, Senate President Vicente Sotto said the senators are not inclined to push for TRAIN 2, because of the impact of TRAIN 1 on inflation and failure of the government to implement social mitigating measures mandated by the law.

Although the senators welcome the proposed lowering of corporate income taxes, Zubiri said they must look into the possibility that hundreds of thousands of people may lose their jobs once the fiscal incentives presently enjoyed by several industries—including business process outsourcing and export manufacturing—are removed.

“As the former chairman of the committee of trade and commerce, I have been briefed on the possible exodus of industries from our country if these incentives are lost. That’s why, on a personal note, I am not in favor of this measure,” he said.

The senator does not intend to stop other senators from discussing, amending, or proposing other bills related to the effects of tax reform.

“At the end of the day we are a collegial body where the majority decision will prevail,” Zubiri said. —VDS, GMA News